...CHAPTER 6 Leadership Ethics and Social Responsibility The purpose of this chapter is to examine important issues about leadership ethics and social responsibility. The focus is on leaders rather than on a general treatment of business ethics, and includes a summary of the theory of ethics. Skill building is also incorporated into this chapter. CHAPTER OUTLINE AND LECTURE NOTES Being ethical and socially responsible is part of being an effective leader even if many financially successful executives are unethical and socially irresponsible. I. PRINCIPLES OF ETHICAL AND MORAL LEADERSHIP Ethics is the study of moral obligations, or separating right from wrong. Also, ethics are the accepted guidelines of behavior for groups or institutions. Morals are an individual’s determination of what is right or wrong and is influenced by his or her values. A moral leader will practice good ethics. Edwin H. Locke argues that ethics is at the center of leadership because the goal of a rational leader is to merge the interests of all parties so that everyone benefits and the organization prospers. A. Five Ethical Leadership Behaviors 1. Be Honest and Trustworthy and Have Integrity in Dealing with Others. Trustworthiness contributes to leadership effectiveness. It appears, however, that trust in business leaders is low. Integrity refers to loyalty to rational principles, thereby practicing what one preaches regardless of emotional or social pressure. (A criminal...
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...around the world and lead the market in manufacturing cleaning products and storage for the home. SC Johnson is a company who is dedicated to the communities in which they operate and also to their innovative, high-quality products. They recognize communication among Nations can become challenging. By recognizing and defining the language barriers among the various cultures, SC Johnson is able to easily overcome the challenge of language barriers and work diligently together globally to stay on top in the industry. SC Johnsons commitment to each country they perform business in, is to be an innovative one stop shop for products that offer environmental benefits. Communication and green choices are essential in SC Johnsons cross-cultural ethics. SC Johnson is a global organization with a multinational presence that has manufactured household brands for over a century. Their worldwide locations include Africa, Asia, Europe, North America, and Australia. SC Johnson formerly stated the principals in ‘This we Believe’. Which is the essence of who they are as a global organization and how they expect their employees to work with others (SC Johnson, Inc., 2013). It explains SC Johnsons values to the stakeholders they are responsible to and who’s trust they intend to keep. These stakeholders include employees, consumers and users, general public, neighbors, and world community. SC Johnson is sincere in their beliefs which encourages them to act with integrity. They are supported by...
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...Ethics and Social Responsibility Ethics and Social Responsibility To gain further understanding into ethical and social responsibility one should begin by comparing the similarities and differences between virtue theory, utilitarianism, and deontological ethics. Through further insight of these similarities and differences one can begin to comprehend the importance ethics and social responsibility plays in personal and business success. The analysis below describes the differences in how each theory addresses ethics and morality. The analysis also includes a personal experience explaining the relationship between virtue, values, and moral concepts as they relate to one of the three theories. The conclusion explains how this information on ethics and social responsibility provides a road to success or failure, depending on the implementation of the knowledge one gains from the data and the decisions one makes. Utilitarianism Theory Working in teams is a very big part of today’s work environment. People work in teams at work as well as in the home. Teamwork is also a big part of the learning environment at University of Phoenix as well as other higher learning institutions. A good team player develops skills that can lead to successful completion of projects and helps with decision-making. Putting the best interest of the team before one’s personal interests is utilitarianism (Boylan, 2009). According to Boylan, “utilitarianism is a theory that suggests that an...
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...Ethics and Social Responsibility MGT/498 January 13, 2014 Introduction Ethics and social responsibility is important in developing a strategic plan. This must be balanced with the needs and agendas of the stakeholder. Companies have the responsibility of ensuring that they can set boundaries that they do not overstep and also implement preventative measures that can be taken to avoid unethical and irresponsible behavior and actions. According to thefreedictionary.com ethics is a set of principles of right conduct, a theory or a system of moral values. It is the rules or standards of governing the conduct of a person or persons. The behavior demonstrated is considered the right thing to do or the right way to act. When one acts ethical, they are doing the right thing for everyone involved. This can be hard to do. The benefit of the act must contribute to the greater good of those that will be affected. Ethics come from several sources, which vary by person. They come from religious beliefs and human conscience and intuition. Being socially responsible is to create a positive relationship to the society and the environment in which a company does business. A company can do this by considering their actions as it affects those around them. For example, a company that recycles paper and plastic can help the environment in many ways, from saving trees to dumping less non-biodegradable plastic in landfills. Or a company that donates to charitable causes like Toys for Tots...
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...WEEK 1 DQ # 1- One of your friends uses the terms ethics and morality interchangeably. You do not think this is correct. How would you explain the difference between ethics and morality? Provide an example of morality and one of ethics in your explanation. DQ # 2- Select two major ethical theories covered in your readings for Week One. What are the major differences between these two theories? Which one of these theories is most aligned to your personal beliefs? Explain. DQ # 3- What are examples of virtues, values, and moral concepts? How does each of these relate to one another? In what ways are they separate and in what ways are they connected? DQ # 4- In Ch. 6 of Basic Ethics, the author discusses the relationship of religion as it relates to morality and ethics. Using your own personal experiences as a resource, what, if any, relationship exists between religion, morality, and ethics? Explain your answer. Assignment (Individual)- Ethics Essay WEEK 2 DQ # 1- What are potential results if members of a community accept their community’s benefits, such as emergency services or school systems, but decline to contribute to the community beyond paying taxes? Explain. DQ # 2- Provide an example of a socially responsible effort within your community. In what ways does this influence the community? How do these efforts affect the individuals within the community. DQ # 3- Consider the community in which you live. What is your responsibility within your own community...
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...Ethics and Social Responsibility Ethics are important in the business world because these days most of the businesses are dealing with a diverse culture and global environment. Organizations or companies should not only concentrate on the profit and loss of the company but also focus on the ethics in the business too. Ethical business behavior can be encouraged in ourselves and others by understanding the term ‘ethics’. Ethics in the workplace is important because good ethics represents a civilized society. Organizations have responsibilities towards the society to fulfill their customers’ need. More often it happens that companies are criticized for their unethical decisions because of the difference in values between the stakeholders and the business people. The common scenario in most of the businesses or organizations is that some business people think for maximum profit of the company. The profit of the company is good and is the key achievable objective for the company, whereas other people in the company may have a different perspective to work in. Enron is a good example of a company overstepping ethical boundaries for stakeholder’s agendas. Enron, the natural gas pipeline company held a conference in Houston for Wall Street investors and analysts. The audience includes the financial experts on the natural gas and power industries for the talk of Enron’s capabilities for its rapidly growing business of numerous commodities such as electricity, and network...
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...Ethics and Social Responsibilities Randall Blow PHL/320 July 14, 2016 Lela Dennis Ethics and Social Responsibility Responsibility is an act whereby an individual or organization is accountable for an action done. An individual or organization ethical responsibility is to act, recognize and interpret on certain values and principles according to given standard that exist in a locality or context (Treviño, et al., 2014). What type of behavior do ethics determine that is acceptable in a given context? What is good and what is wrong doing this process. While social responsibility is acting with an ethical framework whereby an individual or organization is required to act for the benefit of the society has a whole (Suciu & Fisher, 2014). Social responsibility requires a company or team to maximize its profits and earning while minimizing its negative impacts on society that operates it. Although individuals use these terms interchangeably there exist some difference in their meaning and how we use them in other ways. Whether the business decisions are right or wrong when it comes to ethics, but social responsibility is a broader term that relates to activities within a business or enterprise and their impact on the world and society. Social responsibility and ethics concerns have been confined to regulations, policy and the law that which encourages companies to conform to people’s attitudes, values and standard. When business conflicts, actions or decision...
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...homework and discovered wasta. Wasta is simply “pulling strings, nepotism or using an interceder to obtain benefits or to speed a process – usually in relation to authorities.” While wasta is a normal practice in the Middle East, therefore John was simply taking measures that were not out of custom. 2. Were John’s actions immoral? Unethical? Illegal? In short I believe that John’s actions were unethical, immoral, but not illegal. * Unethical - First, I see his actions as unethical. John used a bribe, a payment of a desirable gift to influence the official’s purchase decision. Wasta may be culturally normal, but it is still a form of corruption, which John likely knew. * Immoral – I believe that John’s ethics were immoral due to my personal set of ethics. I am not aware of John’s personal convictions, but with lack of better knowledge I believe John acted immorally. * Legal - Also, John received a bribe, his potential bonus or the lack thereof, as a payment. John has an interesting position as a UK resident. He does proceed with action due to the financial push by his superiors, but since there is not international law governing bribery he is acting legally. 3. Whose countries laws should John follow? John is required to abide by laws in which he is a citizen and that of the country he is currently in. 4. What are the ramifications of sending the caviar or not? If John sends the caviar then the short-term ramifications are great. John will likely...
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...Ethics and Social Responsibility MGT/498 September 2, 2015 Ethics and Social Responsibility Ethical behaviors offer significant advantages, society as hold benefits. Executives who behave ethically are better off and live more fulfilled lives, and unethical behavior can destroy an organization and the individuals who take part in it. Conducting business in the appropriate manner may not always generate the greatest profits however in the end it will lead to greatest personal satisfaction, fulfillment, and a successful outcome. What is Ethics? Ethics is the study of what constitute right and wrong behavior, it focus on morality and application of moral principals in the everyday life, also what is conform to our personal beliefs Business ethics focus on what constitute ethical behavior in the world of business, however it is not a separate behavior. Understanding business ethics is important to long viability to the business and the well-being of the officers and directors as well as the welfare of the employees (Merriam-Webster Dictionary). Ethical Standards and Behaviors The minimal acceptable standards for ethical business behavior are the compliance of the law. Ethical standards such as those in the company's policy and code of ethics must also guide decisions. Nevertheless, simply complying with the laws does not always does not necessarily make the business practice ethical. When can sometimes be ethical and still constitutes as being illegal? During the...
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...Ethics and Social Responsibilities Module 1 Chapters 1, 2, 3, 4 1. There are six factors that contribute to Ethical Intensity. They are Magnitude of consequences, Social consensus, Probability of effect, Temporal immediacy, Proximity of effect, and Concentration of effect. They all play an important role in the decision making of whether or not to let Famous Brewery and Bottling Company sponsor the spring festival and set up a booth at the festival as well. We gave the ethical intensity of the decision 21 out of 30 after putting the six factors on a scale of 1 to 5 and adding them together. 2. It is a very hard decision whether or not to let Famous sponsor the festival because we have to think about what the charity is truly about which is helping victims of domestic violence get temporary housing, cope with stress, and sometimes help with starting a new life. Ultimately the decision is not to let Famous Brewery and Bottling Company sponsor the festival, it may send the wrong message to a lot of people that come to the charity event and we represent helping women in domestic violence situation. 3. Taking the six factors into consideration when making the ultimate decision helped a lot with whether or not to let Famous sponsor the fundraiser. Putting them on a scale from 1 to 5 and adding them up against 30 made the ultimate decision of how important ethically this was. Having sponsors is great and it helps tremendously with the cost of the fundraisers but we cannot...
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...Ethics and Social Responsibility MGT/498 Strategic Plan, Ethics, and Social Responsibility Ethical values and social responsibility serve an important role in the strategic planning process. According to Milton Freidman, “[t]here is one and only one social responsibility of business—to use its resources and engage in activities designed to increase its profits so long as it stays within the rules of the game, which is to say, engages in open and free competition without deception or fraud” (Wheelen & Hunger, 2010, p. 72). With social media and the internet, it is difficult for companies only to focus on profits. Today, companies need to follow Archie Carroll four responsibilities of business. Those responsibilities include economic, legal, ethical, and discretionary. The priority starts with economic and ends with discretionary. According to Carroll, “a business firm must first make a profit to satisfy its economic responsibilities” (Wheelen & Hunger, 2010, p. 73). Once the company’s economic responsibilities have been met they can worry about the social responsibilities—ethical and discretionary. When a company decides to take responsibility for their actions by doing the right thing, this is called business ethics. In business a company or business has a social responsibility to the consumers and stock holders to make sure they are practicing proper business ethics to not only promote doing the right thing but to show that they are...
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...of Phoenix Nana Offei MGT498 Strategic Management The role of ethics and social responsibility August 30, 2012 Abstracts Ethics and social responsibility occupy an important place in human value system. Customer confidence in how business operates has been severely shaking by recent corporate scandals and collapses, such as Enron and bank failures. Hence it is important for companies to consider incorporating ethics and social responsibility into their strategic planning. The (term) ethnics are derivative from the Greek word ethikos, which meaning tradition or character. In philosophy ethical behavior is that which is respectable in the area of moral, philosophy involves in developing, defensive and also recommending concept of right and wrong behavior. These ideas do not change as one desire” and inspiration This applies whether a company is involve with customers one-on-one, such as apple or Dell, Inc.; there are various ways to define ethics the simplest may be to say that ethics deals with right and wrong. However, it is difficult to judge what may be the right or wrong in a particular situation without some frames of reference. However” this paper will illuminate the role of ethics and social responsibility in developing a strategic plan while considering stakeholder need and agendas. In addition apple Inc. will be the example of organization drive that will overstepping the ethics boundaries for stakeholder agendas and the types of preventative...
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...Abstracts Ethics and social responsibility occupy an important place in human value system. Customer confidence in how business operates has been severely shaking by recent corporate scandals and collapses, such as Enron and bank failures. Hence it is important for companies to consider incorporating ethics and social responsibility into their strategic planning. The (term) ethnics are derivative from the Greek word ethikos, which meaning tradition or character. In philosophy ethical behavior is that which is respectable in the area of moral, philosophy involves in developing, defensive and also recommending concept of right and wrong behavior. These ideas do not change as one desire” and inspiration This applies whether a company is involve with customers one-on-one, such as apple or Dell, Inc.; there are various ways to define ethics the simplest may be to say that ethics deals with right and wrong. However, it is difficult to judge what may be the right or wrong in a particular situation without some frames of reference. However” this paper will illuminate the role of ethics and social responsibility in developing a strategic plan while considering stakeholder need and agendas. In addition apple Inc. will be the example of organization drive that will be overstepping the ethics boundaries for stakeholder agendas and the types of preventative measure that could be taking to avoid the situation The role of ethics and social responsibility Companies must consider...
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...Abstract Ethics and social responsibility occupy an important place in our personal value system. Customer confidence in how business operates has been severely shaken by recent corporate scandals and collapses, such as Enron and bank failures. Hence it is important for companies to consider incorporating ethics and social responsibility into their strategic planning. This applies whether a company is involved with customers one-on-one, such as a Taco Bell or Dell, Inc., or their involvement is indirect, through their relationship with their clients, such as newspaper distributor Pogo Distribution Company, or wholesale food seller, Del Monte. This paper analyzes what are ethics and social responsibility, how each applies to a company’s strategic planning, and the overall impact on stakeholders when ethics and social responsibility is considered in strategic planning. The paper will conclude with how my ethical perspective has evolved throughout the program. The Role of Ethics and Social Responsibility in Strategic Planning To be their most successful, companies must consider ethics and social responsibility as critical parts, inherent components of strategic plan. Ethical and social responsibility criteria must be included as part of the strategic process in before-profit decisions rather than after-profit decisions in order to receive the maximum benefit, i.e. corporate profits. The Role of Ethics in Strategic Planning Reflecting critically and actively on ethical...
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...Ethics and Social Responsibility in International Business 1 Ethics and Social Responsibility in International Business Ethics and Social Responsibility in International Business 2 Table of Contents Introduction ..................................................................................................................... 3 Defining Ethics and Social Responsibility ....................................................................... 3 Do Countries with Lower Ethical Views Attract Businesses? .......................................... 5 Can Ethical Business Practices be Applied Globally? ...................................................... 7 Which organizations are safe guarding ethical practices and is it working? ...................... 9 What are the Ethical and Social Responsibilities of Outsourcing? .................................. 12 What is Outsourcing? ................................................................................................ 13 Outsourcing is Beneficial........................................................................................... 15 What a Company Needs to Know Before Outsourcing .................................................. 17 What Are the Facts Regarding Child Labor?.................................................................. 18 Child Labor Global Statics......................................................................................... 18 Conclusion .................................................
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